FIGURE 3-3

-Refer to Figure 3-3. The University Theatre faces market demand curve D₀ and has begun charging $10, up from $5, for tickets for Friday and Saturday night shows. What will students do as a result?

Question

FIGURE 3-3
 
-Refer to Figure 3-3. The University Theatre faces market demand curve D₀ and has begun charging $10, up from $5, for tickets for Friday and Saturday night shows. What will students do as a result?

Quizplus · Accepted Answer

When the price of tickets increases, according to the law of demand, the quantity of tickets demanded decreases, moving along the demand curve to a lower quantity demanded.

FIGURE 3-3 -Refer to Figure 3-3. the University Theatre Faces Market Demand